pvp, true by default. If this is set to false, players can’t hurt other players.

spawn-monsters, true by default. Set to false to remove all monsters.

spawn-animals, also true by default. Set to false to remove all animals.

Removed Debug screen being activated permanently as an option, and is now activated by holding F3

Bug Fixes:

SMP health now works

Added the ability to attack other entities; You can hurt animals, monsters, boats, carts and even other players.

Damage now correctly given for falling damage, drowning, burning

Made eating food restore health

Implemented respawning for dead players

Visible hurt animations for players and mobs

Visible fire on players and mobs

Fixed the block re-spawning bug in SMP

Players traveling in boats and minecarts long distances now receive terrain updates in SMP

New Bugs:

Single player mode is completely broken

Leaf decay causes infinite looping, causing the game to freeze.

Mobs in multiplayer are much harder to kill than in single player mode.

Mobs are sometimes invisible and thus invincible, and can still attack players.

When a player dies, their newly respawned body does not appear to other players. These "ghost" players were unable to pick up items, though otherwise able to interact with the world normally from their perspective. This was fixed with the ghosting player log back onto the server or by editing the player's .dat file.

The server can now be started in either online/secure mode or offline/insecure mode. A secure server requires all connecting players to first authenticate on www.minecraft.net, then checks that the authentication matches, before letting the player in. A server running in offline mode won’t do any such checks, nor will it ask the client to authenticate, but you can’t be sure that people who connect really are who they claim they are. Offline mode is meant for LAN plan where you know the people connecting to the server.

Added ban/pardon commands to ban and unban a player from the game

Added ban-ip/pardon-ip commands to ban and unban a specific ip (you have to kick the player manually)

Added op/deop commands to add/remove a player from the op list

Added player ops. They can send server commands by typing a slash followed by a server command. Server ops can also build/destroy blocks near the spawn area.

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